Second Chance Round Up with Uncommon Money News
| October 19, 2010 | Posted by Roshawn Watson under Uncategorized |
By: Roshawn Watson
Andrew Fashion had a phenomenal ride. Before his 22nd birthday, he had made $2.5 million, a handsome sum exceeding what some families make in a lifetime. It’s especially impressive given his young age. Unfortunately, the money evaporated, and now he is in debt and starting all over. Here’s his story (link under Business).
He started his first business while in the sixth grade (he and a friend turned mechanical pencils into rocket launchers). Later, he launched a couple websites helping people customize their Myspace pages, which netted him a couple of million. Unfortunately, he enjoyed his money a little bit too much: several fancy cars, expensive home repairs, riotous living, etc. Unfortunately, he loss his money and is now in debt. He is using his experience as a cautionary tale to inspire people to make wiser decisions, which is laudable. Additionally, he is starting new online endeavors and his writing a memoir entitled Young and Stupid. With his youth and talents, the possibilities are endless.
Speaking of second chances, I saw another article (link in Business) that completely made me cheer. The article has a picture of none other than Dave Ramsey’s $5 million mansion (no mortgage). At over 13,000 square feet plus another 1500 square feet garage, this home seems quite impressive. If you are unfamiliar with Dave’s story, here is a brief overview. He was worth about $4 million by his late 20’s but was overleveraged. The Tax Reform Act of 1986 caused most of his loans to be due, and because he didn’t have adequate liquidity (cash on hand), he was bankrupted. He loss all his material possessions and almost loss his marriage. The process was so devastating that he swore off using debt again and began teaching biblical finance. Anyway, it’s nice to fast-forward 24 years and see some of the fruits of his labor, especially since his business is built upon helping others.
Thought Questions: Why do (or don’t) you believe in second chances?
Now, it’s time to do the weekly Uncommon Money News and Yakezie Round Up.
Uncommon Money News and Yakezie Round Up
In preparing to write my posts, I often come across noteworthy and sometimes bizarre financial and business news. Below are links to some of these sites. Enjoy!
To my readers: I am so honored by your support. Together, we are telling thousands of the importance of financial literacy. I absolutely could not do it without you: you are vital! Thank you sincerely.
Personal Finance (Yakezie and other PF bloggers)
My 90% Dip in The Value of One of My Stock at Money Reasons – MR discusses investing strategy. This fun post brings up some important investing topics including volatility and risk tolerance.
Judging a Generation of Home buyers Based On TV Shows Like Househunters at Everyday Tips and Thoughts – Kris discusses the impact popular HGTV shows such as Househunters and Property Virgins have on our perception of home buyers and their expectations.
5 Reasons To Have An Emergency Fund at Invest It Wisely – Kevin shares a nice guest post on the merits of having an emergency fund.
How Much to Pay For Graduate School at Grumpy Rumblings of the Untenured – Nicole and Maggie share their insights into the costs of school, judging subsequent job potential based on a degree funding, and graduate school, topics that some treat as mutually exclusive.
Firefighters Let House Burn and Pets Die Over $75 at KNS Financial – Khaleef places us square in the the debate of whether certain important services should be available to people who choose not to pay for them.
The Problem With Elitism at Biz of Life – I found the video shared in this post extremely insightful regardless of whether you agree with the host.
Business News
Top 400 Charities Lose Billions in Donation
How to Earn and Blow $2.5 Million Before Your 22nd Birthday
Dave Ramsey’s House: Living Like No One Else
Economy
[youtube=http://www.youtube.com/watch?v=6W0vCgMRX0o]
Entertainment Money News
Dane Cook’s Half Brother Jailed for Embezzling Millions from Actor
Screech — 3rd Foreclosure is the Charm
Kate Moss’s Cocaine Scandal Doubled Her Salary
Octomom Delivers Miracle Payment, Saves Home
Carnivals I Participated in
- Carnival of Personal Finance at Dough Roller – Good Old Middle Class or Wealthy – You Decide Redux
- Carnival of Financial Planning at The Skilled Investor– Economists Blame ME for the Slow Recovery and Why Is Debt Really Decreasing?’
- Yakezie Carnival at The Narrow Bridge – The Problem with Being Budget Minded is Other People
- Carnival of Wealth at Personal Dividends – 7 Surprising Facts About Millionaires
Round ups that linked to posts from this site
-
Kevin at Invest it Wisely – Weekend Reading- Fall Foliage Edition
- Mich at Beating the Index – World Stocks From One High To Another
- Kris at Everyday Tips and Thoughts – Time to Read Some Great Posts
- Money Reasons – MR Cache: Water Spot Edition
- Maximizing Money – Join the Best Personal Finance Sites at Yakezie
- Khaleef at KNS Financial – Tipping Edition Round Up
Honorable Mentions
- Andrew at Money Crashers – launched Top Personal Finance Blogs ranking algorithm
- Barb at Barbara Friedberg Personal Finance -wrote a free 20 Minute Guide to Investing
I'm not too familiar with Dave Ramsey (blasphemy?) beyond hearing his name a thousand times around the blogosphere, so that was very interesting to learn more about his background. I do believe in second chances. Thanks for the mentions, Roshawn, and I think you forgot to add in your links. 😉
My recent post The Importance of Opportunity Costs- and Why They Should Not Be Ignored
Thanks Kevin. You are more than welcome for the mentions. Dave has a popular TV and very popular radio show; it's fine if you have a completely different philosophy or are unaware of his… other opinions are always welcome!
Hey Shawn, thanks for including my post about the firefighters! I've really enjoyed the comments!
I didn't know much about Ramsey either, just that he's extremely popular. Interesting to know that he was successful and failed before deciding to help others.
I do believe in second chances. Seeing someone get up off the canvas and try again – and succeed – is wonderful. Don't we all want such hope?If someone fails or commits a mistake, they should have an opportunity to redeem themselves – in most cases, anyway.
Now, I have to caveat that by saying that HOW second chances are provided is dependent of the situation. Generally, actions have consequences, and people shouldn't create messes for themselves and others and then just walk away and move on to the second chance. As long as there's individual accountablity, honesty, and learnings captured, then I think that second chances are great. Actually, they can be truly inspirational. I tend to root for the well-meaning underdog who overcomes adversity:)
My recent post Don’t be a Turkey – Career Lessons from the Allen Iverson Saga
Good thoughts about adding the accountability proponent to second chances. For example, although Dave filed bankruptcy, he went back and paid every creditor back after he became prosperous. Being able to pick yourself back up is admirable, but what you do with the second check really demonstrates the strength of your character. I think I cheer for everyone who is trying to do well (not implying that you don't) regardless of their past successes or failures. Still, I love a good second chance too and believe in them wholeheartedly.
My recent post Second Chance Round Up with Uncommon Money News
Thanks for the include!
I haven't officially read Dave Ramsey's books yet (although I did win one from Bucksome Boomer), but he's still a hero to me! Anyone that can help sooooo many people, deserves to be as successful as he is! Kudos to him!
I watch the video at "Biz of Life", and I have to admit, I learned from it! I think the presenter made some interesting points.
Nice gathering of links, I'll have to check out the rest now!!
My recent post The Shawshank Redemption – A Personal Finance Story
You are welcome. I really enjoyed your post. It caused me to rethink the direction of an upcoming guest post that I wrote this weekend, so thank you!
My recent post Second Chance Round Up with Uncommon Money News
Oh great Money Reasons,
I'm always happy when I can come up with at least a couple of good articles that might not have been seen!
Thanks for the RT.
My recent post Second Chance Round Up with Uncommon Money News
Hey Kris,
Third chances… that's a really interesting point. You are right that it is hard to keep on giving people chance after chance and be repeatedly disappointed.
From what I know about Dave's message, he may be fine. Here are some Dave quotes: "live like no one else, so later you can live like no one else" and "my name is Dave and I like stuff." I'm sure there is always someone who will have a complaint no matter what. To me, this seems like the natural progression, but this is just my opinion. Overall, I wasn't that surprised though.
My recent post Second Chance Round Up with Uncommon Money News
Thanks so much Aloysa!!!
My recent post Second Chance Round Up with Uncommon Money News
Thanks for the mention. I'm a big believer in second chances and in people's ability to learn from their mistakes.